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Daily Enterprises is purchasing a $ 1 0 . 3 million machine. It will cost $ 5 3 , 0 0 0 to transport and

Daily Enterprises is purchasing a $10.3 million machine. It will cost $53,000 to transport and install the machine. The machine has a depreciable life of five years and will have no salvage value. The
machine will generate incremental revenues of $4.3 million per year along with incremental costs of $1.3 million per year. If Daily's marginal tax rate is 21%, what are the incremental earnings (net
income) associated with the new machine?
The annual incremental earnings are $.(Round to the nearest dollar.)
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